January 11, 2021, Vancouver, BC – Taseko Mines Limited (TSX: TKO; NYSE American: TGB; LSE: TKO) (“Taseko” or the “Company”) is pleased to provide an update on 2020 financial and operational performance.
Stuart McDonald, President of Taseko, commented, “Given the volatility and challenges brought about by COVID-19 over the past year and the state of the global economy just nine months ago, we are very pleased with our 2020 financial results and optimistic about the year ahead. Adjusted EBITDA* for 2020 is expected to be in the range of $105-110 million, up from $51 million in 2019. Gibraltar produced 123 million pounds of copper for the year and 2.3 million pounds of molybdenum. Looking ahead to 2021, we expect copper production of approximately 125 million pounds from Gibraltar.”
Mr. McDonald continued, “Copper prices have continued to strengthen and many analysts are forecasting higher prices going forward, based on the strong demand environment, expected government stimulus programs and investments in renewable energy infrastructure, combined with ongoing mine supply challenges. The current copper price of approximately US$3.65 per pound is roughly US$0.80 per pound higher than the average price in 2020, and at current prices we would have generated around $200 million of Adjusted EBITDA* in 2020, so we are very optimistic about our financial outlook this year.
The improved market conditions are timely as we continue to advance all financing options for the Florence copper project. We ended the year with a cash balance of $85 million, up from $53 million at the end of 2019.”
Mined ore grades in October and November impacted production in the fourth quarter, but we finished with a strong December with concentrator throughput above design capacity along with increased copper grades. Additionally, increased oxide ore and ore hardness in the initial Pollyanna Pit benches affected recoveries and throughput in the fourth quarter, both of which have been rectified,” concluded Mr. McDonald.
For further information on Taseko, please visit the Taseko website at www.tasekomines.com or contact:
Brian Bergot, Vice President, Investor Relations - 778-373-4533 or toll free 1-877-441-4533
Chief Executive Officer and Director
No regulatory authority has approved or disapproved of the information contained in this news release.
*Non-GAAP performance measure. See end of news release.